TA-6559 REG: Implementing the Cities Development Initiative for Asia: Kathmandu Ecological Urban Renewal Project Preparation (54128-001)

Project Details

Stage 1 includes data collection and in-depth review of the current situation through ADB, Government and other development partner relevant reports, studies and projects in Nepal and in the region. The consultant undertakes a comprehensive stakeholder consultation and carry out the necessary baseline and social surveys which will include, but not be limited to, land use, city planning, and willingness to pay. The potential project components is firmed up with sufficient detail that includes the preliminary financial and economic analysis to facilitate stakeholder discussions and scheme recommendation, outlining the advantages and disadvantages of the options at the key decision-making Interim Report workshop. The consultant liaises with KMC, LMC, and the Nepal government to confirm priority project options. Concurrently, the consultants will also conduct capacity development programs and prepare the institutional/financial capacity development roadmap that will propose short, medium, and longterm activities, custom-tailored to the city. Throughout the implementation of Phase 1, best practices and lessons learned on similar initiatives and projects from other cities should be identified and considered in the implementation of identified priority projects under this PPS. All work under Stage 1 will have a strong social element with a particular focus on the elderly, persons with disabilities (PWD), women, and passengers with young children. Stage 1 is expected to be completed within five months of the start of the PPS. Based on current Municipal strategy, policies and regulation, the consultant will develop a roadmap that include a vision for the urban ecological renewal of the valley, and strategic objectives to achieve the vision including institutional, regulatory, financial, and technical aspects. Structural, cultural, social, regulatory, institutional, technical, financial, economic, climate change and capacity barriers will be identified to achieve the strategic objectives, and an enabling action plan, including both physical and non-physical interventions, based on lessons learned, local conditions and best practices will be developed to overcome those barriers. For each action plan, emphasis will be made on designing and developing specific tools and mechanisms to promote integrated urban redevelopment, NBS, cultural heritage restoration, green urban planning, as well as blue green and blue corridor development. Climate change adaptation, especially urban resilience, and mitigation will be carefully factored in the proposed solutions. Finally, the consultant will prioritize physical and non-physical interventions to be developed in stage 2. 

Stage 2 will focus on further developing, to the pre-feasibility study (PFS) level the prioritized project component packages along with conceptual engineering designs as selected and prioritized at Stage 1. The consultant will finalize the commercial case of the selected option, together with its attendant analysis that includes the financial and economic analysis, together with initial/outline social and environmental due diligence assessments, project implementation plan, and the Design and Monitoring Framework (DMF). Stage 2 is expected to be completed within eight months of the start of the PPSs. 26. Details of downstream financing, as confirmed by KMC and LMC, are expected to be finalized at Stage 1. Progression to stage 2 of the PPS is subject to successful identification, agreement, and positive discussions with the prospective downstream financing (ADB). The Stage 2 due diligence outputs of the PPS should be prepared considering the requirements of the eventual funding agency.